India Market Wrap

Ø  INDICES: Sensex -127 at 16293 (-0.77%), NIFTY -37 at 4929 (-0.74%), CNXMIDCAP -78 at 6986 (-1.1%)

Ø  SECTORAL PERFORMANCE: BANKEX 0.02%, AUTO 0.58%, CAPITAL GOODS -0.96%, HEALTHCARE -1.97%, Metal -1.17%, OIL & GAS -0.49%, IT -0.9%, FMCG -1.27%, PSU -1.01%, REALTY -0.36%, Consumer Durables -0.55%, POWER -1.4%

Ø  MARKET BREADTH: 132 Advances, 362 Declines (BSE 500)

Ø  VOLUMES: BSE $0.35bn (-0.36%), NSE $1.73bn (-4.71%), F&O $23.07bn (11.31%)

Ø  TODAY'S GAINERS: JPA 4.31%, BJAUT 3.62%, TTMT 2.87%, SESA 2.17%, AXSB 1.93%

Ø  TODAY'S LOSERS: TPWR -4.62%, RBXY -4.04%, SUNP -3.79%, HNDL -3.7%, GRASIM -3.5%

MARKET COMMENTARY:

Though Indian benchmarks continued to trade with significant losses of around a percent, the downslide for frontline equity indices appeared to have got arrested in afternoon trades. The benchmark gauges at one point in time appeared set to breach the psychological 4,900 (Nifty) and 16,250 (Sensex) levels as investors were ruthlessly squaring off positions across the board on getting the unexpectedly shocking March industrial production data. However, the key indices seemed to be stabilized just above those crucial levels. But sentiments continue to remain somber as India's industrial production unexpectedly contracted 3.5% in March for the first time in five months, indicating marked slowdown in Asia’s third largest economy. In addition, market’s mood also got undermined after European counterparts got off to a sedate opening on the back of gloomy global developments. Sharp deterioration in confidence of market participants around the world was evident amid uncertainty over Greece's political outlook, a huge loss from JPMorgan and mounting concerns over Spain's banking sector. Besides, sentiments also were dampened by the disappointing cues from money market where anemic rupee returned to its depreciating ways against the US dollar despite the Reserve Bank’s efforts to check outflow of Forex. There appeared absolutely no evidence of buying as investors resorted to across risk aversion after the downbeat domestic and global cues. The defensive counters like Healthcare and FMCG plummeted close to two percent each and were the top laggards in the sectoral space. While investors also were seen booking profits in Metal and Capital Goods pockets which sank around one and half a percent each. Though no sectoral index traded on a positive note, some heavyweight individual names like Tata Motors, Bajaj Auto and BHEL bucked the negative trend and traded with notable gains. Moreover, the broader markets traded on a pessimistic note with sharp cuts while the market breadth was in favor of declines.

NEWS ON TODAYS MOVERS:

Ø  Cipla lost 2.30%on profit booking after companies net profit rose 36.3% to Rs 291.74 crore on 12.1% growth in income from operations to Rs 1890.03 crore in Q4 March 2012 over Q4 March 2011.

Ø  Jain Irrigation Systems rose 1.14% on bargain hunting after good Q4 March 2012 numbers.

Ø  Cadila Healthcare rose 0.88%, with the stock extending Thursday's 2.33% gains triggered by the company reporting good Q4 earnings.

Ø  JSW Steel tumbled 5.10% on reports the Supreme Court has ordered the Central Bureau of Investigation to probe the company's role in procuring iron-ore from illegal mines in Karnataka.

Ø  NTPC fell nearly 0.84%, extending Thursday's 1.22% fall triggered by weak Q4 March 2012 earnings.

Ø  Dr Reddys Laboratories fell 2.20%, after consolidated net profit rose 2.46% to Rs 342.70 crore on 34.21% increase in total income to Rs 2,638.65 crore in Q4 March 2012 over Q4 March 2011.

CORPORATE NEWS:

Ø  MMRDA shortlists 5 consortiums, including L&T, to develop MTHL

Ø  JSW Steel declines on buzz SC orders CBI probe

Ø  McNally Bharat bags order worth Rs138.60 cr

Ø  Federal Bank Q4 cons net profit jumps by 35%

Ø  Suzlon Group install wind capacity at Jaisalmer

Ø  Karnataka will hand over land to Infy, Wipro by month-end

Ø  DB Corp share sale offer oversubscribed

Ø  RIL keen to foray in fin biz, invests in banking stks

Ø  Suzlon Group arm secures 39MW order in overseas

Ø  M&M Nashik fire loss pegged at Rs76 crore

ECONOMIC NEWS:

Ø  Union Cabinet defers insurance bill but clears MFI Bill

Ø  Fall in industry output reinforces slowdown trend: Gokarn

Ø  DGCA warns airlines against cashing in on AI pilots' strike

Ø  IIP for March at -3.5% vs 4.1% in Feb

Ø  2G: SC takes up Presidential reference on 2G licenses

Ø  NRI deposits triple in FY12 to $11 bn

Ø  Air India strike enters 4th day; 12 flights cancelled